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If you're [url=http://www.tagverts.com/barbour.php]barbour online shop[/url] new to real estate investing, you'll soon discover how working with a title company can help your real estate investing business. However, using a title company to close a real estate deal is not always necessary and the savvy investor should always know the advantages and disadvantages involved.
Advantages of Using a Title Company
First, you might be wondering, what does a title company actually do? Title companies first started appearing in the United States in the late nineteenth century as a way to protect buyers against uncertainties about who really owned the land they [url=http://www.jeremyparendt.com/Barbour-Paris.php]barbour france paris[/url] were buying. In order to determine that the title being sold is "clear" that there's no confusion or dispute about who actually has the right to sell it, the title company does what's called a title search.
A title search is a record-by-record investigation of the ownership history of a specific parcel of land. The title company is looking for any [url=http://www.par5club.com/louboutin.php]louboutin[/url] irregularities in the record - they want to make sure [url=http://www.jeremyparendt.com/Barbour-Paris.php]barbour pas cher soldes[/url] it's absolutely clear who owns this property and that there are no competing claims or mitigating circumstance. Typically, they go as far back as they can. But usually, [url=http://www.shewyne.com/woolrichoutlet.html]woolrich sito ufficiale[/url] unless the law in a particular state says otherwise, searching records back 40-50 years is sufficient.
Title companies basically coordinate the whole real estate transaction and communicate with all parties involved: buyers, sellers and lenders. They handle the title, all the paperwork and collect and distribute the money. They also record the sale with the county. If you, as the investor decide your time is better spent doing other things, using a title company is probably the way to go - just remember you will pay for all this service.
Disadvantages of Using a Title Company
In my experience, especially with small deals -under $5,000 - title companies can overcomplicate things. They have very stringent requirements for making sure a title is considered "clear" and they rightly want to make sure there are no problems in the ownership [url=http://www.davidhabchy.com]barbour outlet[/url] history. But sometimes the extent of their services might not be needed if your deal is small. Remember, title companies almost always [url=http://www.riad-marrakesh.fr]abercrombie[/url] have minimum fees of between $300-$800 no matter how small your deal amount is. It doesn't really benefit [url=http://www.davidhabchy.com]barbour sale[/url] you to pay [url=http://www.riad-marrakesh.fr]abercrombie pas cher[/url] more in [url=http://www.rtnagel.com/louboutin.php]louboutin pas cher[/url] title fees than what you're paying for a property. Working with a title company can also drag out the timeline a bit. It's almost always in our interest as real estate investors for the deal to close quickly. The sooner we buy, the sooner we sell. It's good for our cash flow. My [url=http://www.agentparadise.com]woolrich outlet[/url] advice is to call your title company once a week and keep the pressure on them to close as quickly as possible. Oftentimes without your vigilance, title companies can drag [url=http://www.marrakech-hotel.fr]hollister france[/url] out the process.
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